New Issue: EnergySolutions prices $300 million 10¾% eight-year notes at 98.69 to yield 11%

By Paul A. Harris

St. Louis, Aug. 5 - EnergySolutions, Inc. and EnergySolutions LLC priced a $300 million issue of 10¾% eight-year senior unsecured notes (B3/BB-/) at 98.69 to yield 11% on Thursday, according to an informed source.

The yield printed at the wide end of the 10¾% to 11% price talk.

The deal also underwent covenant changes.

J.P. Morgan Securities Inc., Credit Suisse and Citigroup Global Markets Inc. were the joint bookrunners.

Proceeds will be used to refinance existing secured debt.

EnergySolutions is a Verona, Wis.-based low-level radioactive waste services business.

Issuers:	EnergySolutions, Inc. and EnergySolutions LLC
Face amount:	$300 million
Proceeds:	$296.07 million
Maturity:	Aug. 15, 2018
Securities:	Senior unsecured notes
Bookrunners:	J.P. Morgan Securities Inc., Credit Suisse, Citigroup Global Markets Inc.
Coupon:	10¾%
Price:	98.69
Yield:	11%
Spread:	854 bps
Call features:	Make-whole call at Treasuries plus 50 bps until Aug. 15, 2014, then callable at 105.375, 102.688, par on and after Aug. 15, 2016
Equity clawback:	35% at 110.75 until Aug. 15, 2013
Change-of-control put:	101%
Trade date:	Aug. 5
Settlement date:	Aug. 13
Ratings:	Moody's: B3
	Standard & Poor's: BB-
Distribution:	Rule 144A and Regulation S with registration rights
Price talk:	10¾% to 11%
Marketing:	Roadshow

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